It does sound right to me. About 10 months ago I bought gas from a station that was contaminated with diesel fuel. Apparently the guy filling the tanks hooked up the diesel line to the regular fuel line. Pulled out of the station and the car died right there. The entire fuel system needed to the cleaned out and the fuel pump replaced.
The total repair for mitsubishi galant fuel pump was just under 700 dollars. Their insurance paid for it as the clerk knew the gas was contaminated and continued to sell it.
Like the previous posts, its in the labor that the cost goes up. They need to empty the gas tank, go into and replace the pump etc. Its a sh*ty repair job because of cost but on the plus side, you will hopefully notice a difference in the performance of your car. I saw a great improvement with the galant.